Land appraisal revision

[George Hatch]

USPAP allows for the partial, but the intended use of the appraisal and the requirements the user needs to meet are also a significant factor. An additional factor above and beyond the theoretical minimums allowed under USPAP.

AFAICT in this case those additional requirements elevate the minimums for the assignment beyond the "can appraise a component" minimums in USPAP. When the lender makes a loan on the property they are also encumbering these attached components. When the property gets sold in that hypothetical transaction on that effective date it comes with these additional components. Everyone in the transaction expects this, and it is those expectations that we are attempting to emulate in an MV appraisal. We are not attempting to emulate "what the lender will accept" to the exclusion of what the informed buyer/seller is doing..

 

[Terrel L. Shields]

Any report prepared for a bank under IAG -Inter-Agency Guidelines - must provide an "as is" value in addition to any other value the bank wants. And many, if not most, non-residential loans are prepared as non-conforming conventional loans.

 

[OSU Beavers]

The lender was a credit union.

 

[RCA]

I am an active appraiser, just not a licensed anymore. I let my license expire two years ago and tried to retire but the local courts keep making me offers I can't refuse. They continue to appoint me (I don't need a license to be appointed) and the local judges don't care much about USPAP, they've essentially said so in several trials in which I've testified. They've seen too many landowner-biased appraisal reports, often completed by MAI hired guns/prostitutes hired by the landowner's attorneys, that purport to follow USPAP so they, and the juries, are more interested in credibility and competence.

So, as a non-licensed appraiser, I don't really care much about FAQ's or AO's and don't keep USPAP on the pedestal where I was once required to keep it.

But to the question at hand...I know that USPAP and its FAQ/AO offspring allow an appraisal of a segment without using a HC, the question is does it prohibit it? I don't think so. I'm thinking it simply allows an appraiser to complete a report for the secondary market (the real boss of USPAP) without using a HC.

True.

 

[sputnam]

I am an active appraiser, just not a licensed anymore. I let my license expire two years ago and tried to retire but the local courts keep making me offers I can't refuse. They continue to appoint me (I don't need a license to be appointed) and the local judges don't care much about USPAP, they've essentially said so in several trials in which I've testified. They've seen too many landowner-biased appraisal reports, often completed by MAI hired guns/prostitutes hired by the landowner's attorneys, that purport to follow USPAP so they, and the juries, are more interested in credibility and competence.

So, as a non-licensed appraiser, I don't really care much about FAQ's or AO's and don't keep USPAP on the pedestal where I was once required to keep it.

But to the question at hand...I know that USPAP and its FAQ/AO offspring allow an appraisal of a segment without using a HC, the question is does it prohibit it? I don't think so. I'm thinking it simply allows an appraiser to complete a report for the secondary market (the real boss of USPAP) without using a HC.

No... USPAP doesn't prohibit it.